Asian Development Bank (ADB) Cuts India's FY27 GDP Growth Forecast to 6.6%

Key facts

• The Asian Development Bank (ADB) has lowered India's Gross Domestic Product (GDP) growth forecast for FY27 to 6.6% from the 6.9% projected in April.
• ADB retained India's growth forecast for FY28 at 7.3% in the July edition of its Asian Development Outlook, citing improved global conditions and export competitiveness.
• The inflation forecast for India for FY27 has been revised upward to 5.2% from 4.5% due to higher oil prices and a weaker rupee.
• ADB maintained the inflation projection for FY28 at 4%, expecting fuel and food prices to normalise with favourable base effects.
• ADB lowered South Asia's growth projection for 2026 by 0.3 percentage points, largely driven by the downward revision in India's outlook.